Tether purchased 26 metric tons of gold during the third quarter of 2025, exceeding the quarterly acquisitions of any individual central bank and positioning the stablecoin issuer as a major force in global bullion markets.
The company's total gold holdings reached 116 tons by Sept. 30, according to analysis from investment bank Jefferies.
The purchase surpassed Kazakhstan's 18-ton addition, Brazil's 15 tons and Turkey's 7 tons during the same period. Tether's buying represented approximately 2% of global gold demand in Q3, according to multiple industry analyses.
If ranked alongside countries on the International Monetary Fund's official gold reserves list, Tether would place among the top 30 holders worldwide. The company now holds more gold than the central banks of Greece, Qatar and Australia.
What Happened
Tether's gold reserves grew from approximately $5.3 billion at the end of 2024 to $12.9 billion by September 2025, marking a $7.6 billion increase in nine months. The company maintained an acquisition rate exceeding one ton per week throughout the period, according to CCN.
Gold and precious metals now represent approximately 7% of Tether's consolidated reserves as of Sept. 30. Less than 12 tons back Tether Gold (XAUT), the company's tokenized gold product with a market value of roughly $1.6 billion.
The remaining 104 tons form part of Tether's broader corporate reserves supporting USDT, the world's largest stablecoin with over $100 billion in market capitalization. USDT became the first stablecoin to surpass $100 billion in market cap, functioning as a key liquidity layer across cryptocurrency exchanges and decentralized finance platforms.
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CEO Paolo Ardoino stated on social media that "while the world continues to get darker, Tether will continue to invest part of its profits into safe assets like Bitcoin, Gold and Land." The company has emphasized diversification as a strategy to enhance USDT's stability and resilience.
Central banks globally added a net 220 tons of gold in Q3 2025, up 28% from the second quarter, according to the World Gold Council. Guatemala increased reserves by 6 tons, representing a 91% jump to 13 total tons.
Why It Matters
Tether's emergence as a leading gold buyer signals a structural shift in precious metals markets traditionally dominated by sovereign institutions. Large private players including stablecoin issuers, sovereign wealth funds and multinational corporations are becoming significant participants in markets once controlled exclusively by governments.
The World Gold Council has identified rising non-sovereign demand as a notable trend in recent quarterly reports. Tether's sustained purchasing contributed to gold prices surging over 40% in 2025, with the precious metal reaching record highs amid concerns about fiscal policy and currency stability.
Central banks acquire gold primarily for national monetary strategy and reserve diversification. Tether holds gold as collateral for its stablecoin products and as corporate asset diversification, creating different market dynamics and motivations.
The company's aggressive accumulation strategy raises questions about stablecoin reserve composition and regulatory compliance. The U.S. GENIUS Act, signed in July 2025, requires compliant stablecoin issuers to maintain reserves backed 100% by high-quality liquid assets such as cash or short-term Treasuries, explicitly excluding gold.
Tether announced plans to launch USAT, a U.S.-compliant stablecoin backed entirely by Treasury securities, while continuing to operate USDT with diversified reserves including gold and Bitcoin for international markets. The dual-track strategy addresses regulatory requirements while maintaining its existing business model.
Tokenized gold products like XAUT offer accessible alternatives to traditional ETFs, avoiding high fees and minimum investments that typically deter retail investors. The tokenized gold market reached $3.9 billion in total supply, with XAUT surpassing $2 billion in market capitalization.
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